Overview
- New coverage singles out the Vanguard Dividend Appreciation ETF as a buy for 2026, citing resilient cash‑flow growth and a more attractive entry point.
- The fund tracks companies with roughly 10 years of dividend hikes and excludes the highest‑yielding quartile, a design meant to avoid yield traps.
- Market‑cap weighting increases exposure to mega‑cap technology, with three tech names accounting for about 16% of assets.
- Vanguard High Dividend Yield ETF faces scrutiny for recent negative dividend growth and an about 2.4% yield, despite holding 500‑plus stocks and about $81.3 billion in assets.
- For income and growth balance, pieces highlight VIG’s ~1.6% yield, ~$3.55 annual dividend, ~3.81% dividend growth and sub‑40% payout ratio, while also noting core complements like VTI and VOOG and income alternatives such as SPDR’s S&P Dividend ETF.